Research: More Than a Third of Roku Users Don’t Have Pay-TV Service

More than a third (35%) of Roku users do not subscribe to a legacy pay-TV service, according to new research from The Diffusion Group.

That is notably greater than the 27% of adult broadband users in general, most of which enjoy streaming TV, according to the firm’s ninth “Benchmarking the Connected Consumer” report.

“Given its substantial footprint and brand strength, Roku devices are becoming a favorite of those living without legacy pay-TV,” noted Diffusion Group president Michael Greeson in a statement. “The assortment of free and fee-based video apps in the Roku portal is undoubtedly a reason why we observe these correlations. For many TV streamers, buying a Roku, and getting access to the Roku video ecosystem, is no longer just an easy way to supplement their legacy pay-TV service, but a means of replacing it.”

By 2020, The Diffusion Group forecasts that streaming sticks will near 45% penetration among U.S. broadband households, with iSTBs close behind.

“Should Roku remain the dominant brand, and continue to expand its vast OTT content ecosystem, legacy pay-TV will suffer,” Greeson said in a statement.

The annual “Benchmarking the Connected Consumer” report details the ownership, placement, connectivity, and use of media-centric consumer electronic devices in the broadband home.

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